What contingency means in collections
Contingency means the agency is paid out of what it collects, not out of your pocket. There is no setup fee, no hourly billing, and no retainer. The agency carries the cost of the calls, the letters, the skip tracing, and the attorney referrals, and it gets paid only when you do.
At Accounts Receivable the guarantee is simple: no recovery, no fee. Our commission comes out of what we collect, never out of your pocket.
What decides the percentage
Four things move the rate on a contingency claim:
- The size of the balance.
- The age of the account. The older the debt, the harder it is to collect, and the rate reflects that. Accounts placed at 60 to 90 days past due are in the best window.
- The type of debt. A commercial invoice, a consumer balance, a returned check, and a judgment are each worked differently.
- Whether legal action is needed. Suit fees are usually advanced by the client and are typically reimbursed once a judgment is collected.
Ask for the rate in writing. You should know exactly what you will pay before the first call is made.
Costs you should never see
No setup fee. No hourly rate. No retainer. No charge for an account that cannot be collected. If the facts, the available assets, or the overall recovery potential do not support further action, we recommend closing the case at no cost to you.
You should also never be charged for an evaluation. A free assessment of your accounts, with a response within one business day, is how the relationship starts.
When an alternative fee arrangement comes up
In certain situations, such as very low balances, complex international claims, or cases that require significant legal resources, an alternative fee arrangement may be discussed with you up front. Full transparency on all fees comes before any commitment. You are never charged without your knowledge or consent.
What to ask before you sign
- Is my rate confirmed in writing before I sign?
- What do I owe if you recover nothing?
- If the case goes to an attorney, who advances suit fees, and how are they reimbursed?
- Can I see my accounts online, and how often do I get reports?
- When and how is recovered money remitted to me?
Common follow-up questions
Do I pay anything if the agency collects nothing?
No. With a contingency agreement the fee is a percentage of recovered money. If nothing is recovered there is nothing to take a percentage of, and you owe nothing.
Do you charge to review my accounts first?
No. The assessment is free and most requests are answered within one business day. You get a rate and a plan before you commit to anything.
When do I receive the money that is collected?
Payments collected the 1st through the 15th are processed the 1st through the 5th of the following month. Payments collected the 16th through the 31st are processed the 16th through the 20th of the following month. Custom remittance schedules are available.
Talk to us
Tell us about the accounts and we put together a free assessment, usually within one business day. Request a free consultation, contact us, or call 321-710-3530. Ready now? Place a claim and we go to work today. No recovery, no fee.